R.R. Donnelley Inks Deal for Bowne

http://dealbook.blogs.nytimes.com/2010/02/24/r-r-donnelley-inks-deal-for-bowne-co/?partner=yahoofinance

R.R. Donnelley & Sons, the printing services company, said Tuesday it has agreed to acquire Bowne & Company, a shareholder and marketing communications services company, for about $481 million in cash, The Associated Press reported.

R.R. Donnelley’s offer values Bowne shares at $11.50, a 65 percent premium over the stock’s closing price of $6.97 Tuesday.

R.R. Donnelley said buying New York-based Bowne will expand its offerings for clients and help it sell existing products to Bowne customers.

The deal is expected to close in the second half of this year, The Associated Press said. R.R. Donnelley said it expects the acquisition to increase earnings in the first full year after the acquisition.